- There are no single definition of culture. - Kroeber and Kluckhohn (1952) identified over 160 different definitions of culture. - Culture as that complex whole which includes knowledge, belief, art, morals, law, custom and any other capabilities and habits acquired by man as a member of society (Edward, 1871) 2
Culture is a learned, shared,
compelling, interrelated set of symbols whose meanings provide a set of orientations for members of a society (Terpstra & David, 1991) Culture refers to the finer things in life, such as the fine arts, literature and philosophy (Ferraro, 2002) 3
Culture is an acquired knowledge the
people use to interpret experience and generate social behavior. This knowledge forms values, creates attitudes and influences behavior (Hodgetts & Luthans, 2000) Culture is the collective programming of the mind which distinguishes the members of one group or category of people from another (Hofstede, 1991) 4
Culture is everything that people have,
think and do as members of their society (Ferraro, 2002) Have something, some material object must be present. Think ideas, values, attitudes & beliefs Do normative, expected, patterns of behavior As members of their society shared 5
1.2 IMPACT OF CULTURE ON
BUSINESS As an international managers, they must work on a number of different premises at any time. In business, phenomena as authority, bureaucracy, creativity, good fellowship, verification and accountability are experienced in different ways. 6
People point to McDonald or Pepsi Cola as
examples of tastes, markets and hence cultures becoming similar everywhere. What is important here is not what they are and where they are found physically but what they mean to the people in each culture.
If business people want to gain
understanding of and allegiance to their corporate goals, policies, products or services wherever they are doing business they must understand what those and other aspects of management mean in different cultures. Not only use the term When in Rome, do as the Romans do but When in Rome, understand the behavior of the Romans and thus become an even more complete 8
1.3 LAYERS OF CULTURE
Outer Layer: Explicit products - is the observable reality of the language, food, buildings, houses, monuments, agriculture, shrines, markets, fashions and art.
Middle layer: Norms and values
Norms are the mutual sense a group has of what is right and wrong. Values determine the definition of good and bad and therefore closely related to the ideals shared by a group. Norms give the feelings this is how I normally should behave. Values give the feelings of this is how I aspire or desire to behave 10
The core: Implicit
Groups of people organize themselves in such a way that they increase the effectiveness of their problem-solving processes. Implicit layer is more on the nature of the people or society itself.
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1.4 FOUR OPERATIONS OF
CULTURE 1) Culture classifies phenomenon into discontinuous units -How are things classified? - Companies never classify difficult situations as dilemmas or crises but always refer to challenges, issues or opportunities.
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2) Culture codes the classified units
-What are proper codes for behavior? - People learn not only to classify items but also to behave towards them. - Once an object is culturally identified, rules for proper conduct can be defined. 3) Culture specific priorities among codes for conduct -What are priorities among codes for conduct? -Priorities among codes are called values. Priorities are necessary because different situations different actions. 13
4) Culture legitimizes and justifies all its
classifications, codes and priorities. -How are all these cultural understandings legitimized? -Such companies attempt to enlist the commitment of their staff. Other companies rely on coercive techniques, rather than legitimating, to enforce compliance to expected behavior.
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1.5 FRONTSTAGE &
BACKSTAGE Frontstage Culture - Things that normal, standard, proper that insider are willing to share with outsiders. Backstage Culture - Refers to knowledge that insiders define standard ways of doing things that they are not willing to share with outsiders. 15
1.6 IMPORTANCE OF CROSS
CULTURAL MANAGEMENT - Businesses are increasingly global and mobile. - Multinationals often open their plant, branches far from HQ. - Firms such as General electric, Matsushita, Ericcsson, Nokia, Microsoft, Toshiba etc. a worldwide multinationals. 16
- Increase of Trading Blocks also one of the factors
which needs huge cooperation and tide relationship. (TPPA, ASEAN, APEC, EU, etc) - Managers have to deal with individuals from other national cultures. - Their skills such as interactive relationship, smart partnership etc. - A survey by Beamish and Calof (1989), human resource and other executives ranked communication skills as most important for positions of international responsibility, followed by leadership skills, interpersonal skills and adaptability/flexibility. Functional /technical strengths and technological literacy were rated lower. 17
- Copeland & Griggs (1985) calculated that expatriate
failures were costing American companies USD 2 Billion a year. - Cross-cultural management skills is a course whereby students can improve their communication and interaction with members of other cultures, which always implies learning about their cultural systems. - Effective cross-cultural management means working with members of other culture, tolerating differences so far as possible, and recognizing their priorities when developing shared priorities.